HUD Issues Guidance on HOTMA’s Self- Implementing Provisions

The U.S. Department of Housing and Urban Development (HUD) recently issued this letter to public housing authority (PHA) Executive Directors regarding the five self-implementing portions of the Housing Opportunities through Modernization Act (HOTMA) (Pub. L. 114-201) that was signed into law on July 29, 2016. According to this guidance, which is also expected to be transmitted through a Federal Register notice soon, the following HOTMA sections are effective immediately:

Section 102(d) – Reasonable Accommodation Payment Standards

Section 107 – Establishment of Fair Market Rent

Section 110 – Family Unification Program for Children Aging out of Foster Care

Section 113 – Preference for US Citizens or Nationals (applicable in Guam only)

As the letter points out, all remaining HOTMA sections impacting the housing choice voucher and public housing programs will only become effective upon HUD’s issuance of an applicable notice or regulation for those provisions. Until then, PHAs must continue operate under current housing regulations.

Stay Connected

About the Housing Group

Ballard Spahr's housing practice
is nationally recognized for its innovative and practical approaches in the development and financing of housing and community development projects nationwide. Our experience includes the representation of more than 75 housing authorities, the closing of hundreds of bond transactions as bond and underwriter's counsel, and involvement in thousands of tax-credit transactions. We routinely represent borrowers and more than a dozen lenders under all of the multifamily programs of Freddie Mac, Fannie Mae, and HUD.